Despite Pushback From Pubs, Apple Will Make iTunes Subscription Billing Mandatory

When Rupert Murdoch's The Daily launched last week, Apple's VP Eddy Cue got on stage to announce one-click subscriptions for iPad publications through iTunes. The Daily already has the one-click billing option as a feature, and Cue promised it would be made available to other iPad newspaers and magazines soon. Cue then started to make the rounds of print media companies in New York City to explain how subscription billing will work on the iPad. Who will have control over subscriber revenues and data has long been a point of contention between print publishers and Apple. The magazine and newspaper companies want to be able to control subscription billing by sending readers to their own sites to process iPad app subscriptions, but Apple is insisting that they use iTunes. To get through this impasse, I've heard that Apple is offering a compromise. Publications might be allowed to route subscribers to their own websites or payment portals to grab their credit card numbers, but they will also have to offer the option of subscribing through iTunes.